Posted on December 15, 2014 11:16:00
PM [ BusinessWorld Online ]
PROFRIENDS Group, Inc. has postponed
the announcement of a final offer price for its initial public offering (IPO)
until it secures approval from the Philippine Stock Exchange (PSE), Reuters
reported yesterday.
The mass housing developer was
supposed to announce the final IPO price yesterday, after getting last Dec. 3
clearance from the Securities and Exchange Commission.
Now the offer price could be set
instead in the first quarter of 2015, Reuters reported quoting an underwriter.
The transaction’s underwriter, First
Metro Investment Corp. (FMIC), had previously said the PSE board was scheduled
to discuss Profriends’ application last Dec. 10 but, as of yesterday, the local
bourse still has yet to announce its approval.
PSE officials did not respond to a
request for comment.
A regulatory clearance would have
allowed Profriends to offer shares from Dec. 17 to Jan. 9.
FIRST IPO FOR 2015
Listing date was originally scheduled
for Jan. 15 that would have made Profriends the country’s first new listing
next year.
FMIC and BDO Capital & Investment
Corp. were hired as joint lead managers, joint lead underwriters and joint lead
bookrunners for the IPO.
Profriends plans to raise up to P7.71
billion from the sale of 385.75 million common shares for up to P20 each,
according to the company’s prospectus.
From IPO proceeds, about P3 billion
will go to development and construction; P2 billion to subsidiary Williamton
Holdings, Inc. which will process in-house financing requirements of the
group’s housing projects; P600 million for general corporate purposes; and the
rest for land banking. Its land bank totals 1,800 hectares in the provinces of
Cavite, Iloilo, Pampanga and Cagayan de Oro as well as in Metro Manila. --
Daphne J. Magturo
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